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8-* Scenarios Increase in holding cost (from $2 to $6) Overtime cost drops to $4.1 per hour Increased demand fluctuation 8-* Increased Demand Fluctuation 8-* Aggregate Planning in Practice Think beyond the enterprise to the entire supply chain Make plans flexible because forecasts are always wrong Rerun the aggregate plan as new information emerges Use aggregate planning as capacity utilization increases Aggregate Planning in Excel Construct a table with the decision variables Construct a table for constraints Create a cell containing the objective function Use Data Analysis Solver 8-* 8-* Summary of Learning Objectives What types of decisions are best solved by aggregate planning? What is the importance of aggregate planning as a supply chain activity? What kinds of information are needed to produce an aggregate plan? What are the basic trade-offs a manager makes to produce an aggregate plan? How are aggregate planning problems formulated and solved using Microsoft Excel? * Notes: * Notes: * Notes: * Notes: * Notes: * Notes: * Notes: * Notes: * Notes: * Notes: * Notes: Copyright ? 2010 Pearson Education, Inc. Publishing as Prentice Hall. Copyright ? 2010 Pearson Education, Inc. Publishing as Prentice Hall. Copyright ? 2010 Pearson Education, Inc. Publishing as Prentice Hall. Copyright ? 2010 Pearson Education, Inc. Publishing as Prentice Hall. Copyright ? 2010 Pearson Education, Inc. Publishing as Prentice Hall. Copyright ? 2010 Pearson Education, Inc. Publishing as Prentice Hall. Copyright ? 2010 Pearson Education, Inc. Publishing as Prentice Hall. Copyright ? 2010 Pearson Education, Inc. Publishing as Prentice Hall. Copyright ? 2010 Pearson Education, Inc. Publishing as Prentice Hall. Copyright ? 2010 Pearson Education, Inc. Publishing as Prentice Hall. Copyright ? 2010 Pearson Education, Inc. Publishing as Prentice Hall. Copyright ? 2010 Pearson Education, Inc. Publishing as Prentice Hall. 8-* Chapter 8Aggregate Planningin the Supply Chain 8-* Outline Role of
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